Myth Busters: Are Amazon Product Launch Websites Bad for FBA Sellers?

Joe SummersAmazon Marketing, Amazon Policies3 Comments

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Amazon product launch and deal websites provide a fast and easy way to spike product sales. Handing out deep discounts to hungry bargain hunters is a almost guaranteed way to start a buying frenzy. But is this really such a good idea for FBA sellers?

Some sellers worry about negative consequences of using Amazon deal websites. Are you worried about the same thing? Let us help clarify a few things about deal sites like why sellers use them, how they work, the potential risks and the results being achieved by sellers using them today.

 

What Are Amazon Product Launch Websites?

Branded Jump Send Image

Product launch or Amazon deal websites are designed to help new sellers gain momentum in the competitive Amazon marketplace. They set up win-win scenarios whereby customers get bargains and sellers gain traction on Amazon.

Key Benefits For FBA Sellers

Sellers use these websites to quickly boost sales for new products that have little organic exposure. Spiking sales in this way comes with a number of benefits:

  • Increasing product listing Best-Seller-Rating (BSR)
  • Boosting keyword ranking and marketplace visibility
  • Gaining new customers that can leave reviews

In a nutshell: Increasing sales velocity, even in the short-term, offers great benefits to sellers trying to establish new products.

Positives & Negatives

The beauty of using Amazon deal websites is the ease of execution. There’s simply no faster way to sell units and generate reviews.

  • Promotions can be set up and running in under 5 minutes
  • Sales can be generated almost immediately
  • No technical experience required

One minor drawback is the fact that sellers must deeply discount products to attract buyers. However, many sellers still successfully run promotions at cost or small profits.

Costs for using Amazon Deal Websites are usually quite low. Just $29/month for Jump Send’s Starter pack enables quick promotions and also allows you to set up automated follow up emails for attracting positive reviews and to help prevent negative ones.

The barriers to entry are very low but you’ve got to be willing to let a certain amount of stock go to fuel the fire. Think of this as a marketing investment to kickstart your business.

Are There Any Risks For FBA Sellers?

No, there shouldn’t be if the deals site your using abides to Amazon’s TOS. We encourage our readers to conduct their own research on websites they use. Not all deal websites out there are operating within Amazon’s Terms of Service so beware.

What we will say is, you are not breaking Amazon TOS by giving out products with deep discounts. Nor is there anything wrong with asking customers for honest reviews after they make a purchase (discounted or not).

But these activities are against Amazon’s TOS and will get you into trouble:

  • Incentivizing reviews by providing discounts in exchange for a review
  • Paying customers to review your product
  • Telling customers they must leave a positive review

Any Amazon Product Launch Websites that encourage you to do any of these should be avoided at all costs!

Won’t Someone Steal Your Idea?

Some sellers are fearful that product launch websites are like shark tanks where sellers look to steal ideas. While it’s true that other sellers using the service can see your products, it’s hardly different to them browsing Amazon and looking through products.

Sure, maybe you’re launching a new product and it might peak their interest but the likelihood of someone building an entire business just to rip-off an idea they saw on a launch website? Not likely.

Furthermore, you are already up and selling. They would have to source a product, develop a brand, send inventory to Amazon then try to launch themselves. Even if they did, you’d be well ahead of them by then.

Are There Alternatives To Using Amazon Deal Websites?

Jungle Scout, our sister software for Amazon product research, recently published a Product Launch Case Study where a number of different launch strategies were compared. Interestingly, they found product launch websites like Jump Send to be the easiest and most cost-effective way to launch products in Europe.

Comparison Graph of Different Launch Strategies

Alternatives To Consider:

  1. Amazon Pay-Per-Click – Setting up PPC campaigns will help get your product seen and generate more sales when set up correctly. However, when you’re paying for every click the learning curve is quite steep.
  2. Build an Email List – Building your own brand audience is a great way to promote products and spike sales on command. However, this takes significant time and effort before it provides results.
  3. Use an Existing Audience – If you are an influencer (or can leverage one), you could launch your product to an audience using promotional strategies. Yet this may require more time, effort and monetary investment than other routes.
  4. Paid External Traffic – You could run ads on other platforms such Google AdWords or Facebook and direct traffic to your Amazon listing. However, this will require a degree of expertise and a higher investment to pull off.

How Do Amazon Product Launch Websites Work?

Jump Send is our very own Amazon Product Launch Website with a different approach. Here’s how we enable FBA sellers to run tactical promotions to increase sales velocity and rank:

1. Import Your Product – We automatically import your listing data directly from Amazon to get you up and running in no time. We’ll even walk you through how to set up your promotion in Seller Central and get your coupon codes.

2. Create Your Discount – Set price and quantity of promotions to your liking. You can easily enable or pause your promotion at any time with one click.

Screenshot of Jump Send Deals Approval Page

3. List Your Product on Our Marketplace – We promote your deal and make it available to over 100K+ Amazon shoppers.

Screenshot of Jump Send Marketplace

4. Approve Your Shoppers – Within hours you’ll have real Amazon shoppers requesting coupons for your product. Approve requests manually or have Jump Send automatically approve a set number of requests per day.

Screenshot of Jump Send Promotions Page

5. Build Follow Up Email Campaigns – Schedule automated emails to your buyers at specific times after your product has been confirmed, shipped or delivered. This can be used to enhance your customer experience and remind customers to leave reviews or encourage them to reach out for support.

Screenshot of Jump Send Campaign Builder

Furthermore, Jump Send is 100% Amazon Compliant. All of our features are fully within Amazon’s TOS, providing sellers with a great way to jump start their business without breaking any rules!

Try Jump Send Today!

We help thousands of sellers launch products successfully, helping increase their sales throughout the lifetime of their product and enabling them to provide excellent customer service. All the while, saving our FBA sellers time and money.

There are no risks involved with using our service, in fact, it’s a very safe way to launch products on Amazon. We don’t want anyone to miss out, so we’re offering a 3-day free trial to let you try out Jump Send.

So what are you waiting for? You could launch or relaunch your product within 10 minutes from now!

Start my Free Trial!

 

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Comments 3

  1. Good article, but what is the maximum discount that customers can buy at so they are allowed to leave a verified review afterwards should they want to?

  2. Hello.
    Apparently reviews are not allowed for discounts greater than 20%
    These websites might work for sales velocity but…reviews?
    Are you absolutely certain that Amazon approves reviews obtained through your software and these deep discounts?

    1. Hi Ale!
      Amazon has not changed any terms of service regarding what reviews are allowed for discounts , although we’ve heard that sometimes offering a “deep discount” can affect this, but Amazon has not confirmed what is considered to be a deep discount. We’ve heard from sellers that a deep discount is anywhere from 60% or greater but have been unable to verify this.

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